8 Most Infamous Tech IPO Failures
eToys
eToys, the retail website that sells toys was established in 1997 and within two years, in 1999 it went public.
With a high-time valuation of over $8 billion, the company’s IPO was a great success. The online retailer was backed by Sequoia Capital, Highland Capital Partners and Idealab, Its share values quadrupled from $20 to as high as $85 on the first day and eventually settled at $77.
But the company, which doesn’t had a proper online presence at that time, failed to win the battle with the giants such as Amazon and Wal-Mart. Eventually by February 2001, the shares went down to $1 and the company filed for bankruptcy.
